The supply chain shortage has not seen any relief in 2021, particularly when it entered the third-quarter traditional electronic peak season. Market demand has increased, but overall production capacity has not.
Speculation has been circulating in the chipmaking market that AMD and MediaTek are in talks to form a joint venture that will be dedicated to developing SoC solutions combining Wi-Fi, 5G and high transmission technologies for notebook applications.
Chip shortages have undermined shipments to the notebook market. The top-5 notebook vendors saw their combined shipments drop 3% sequentially in August, according to the latest figures from DIGITIMES Research. Acer chairman Jason Chen has disclosed Chromebook demand has shifted from 11.6-inch models to 15-inch ones to meet needs from high school and college students. In the memory sector, DRAM contract prices will drop faster than previously expected in fourth-quarter 2021, as demand from PC OEMs decelerates.
Chromebooks with 14- to 15-inch displays are currently having the worst shortages as orders from the education segment are shifting from the elementary to middle school levels - which are commonly using 11.6-inch models for their study-from-home needs - to high school and college levels, according to Acer chairman and CEO Jason Chen.
The impact of chip shortages that are in varying degrees had a negative impact on the overall notebooks shipped by the world's top-5 notebook brands (excluding Apple) in August, which saw a 3% sequential drop, according to Digitimes Research.
PC shipments in India hit a five-year high in the second quarter, rising 43% on year to 4.097 million units, partially because of the low base period in 2020, according to a PC market survey conducted by Canalys.
Developed by Google and Reliance Industries, JioPhone Next's launch has been postponed to November. Although there is a variety of factors behind the delay, the reality has proven more dire than Reliance has expected amid component shortages.
External circumstances and changing industry demands have continued to impact various industry chains since the second half of 2020. For IPC companies, the consensus in 2021 is that they can only produce as many products as there are materials.
The US-China trade tensions are driving US chip vendors away from Chinese foundry houses, which neveretheless still see strong demand from the domestic market. China's top foundry house SMIC is gearing up expansion of its mature process manufacturing capacity. US-based notebook vendors remain optimistic about demand from the enterprise segment in 2022, as they step up component purchses.
Government-developed Hsinchu Science Park (HSP), Southern Taiwan Science Park (STSP) and Central Taiwan Science Park (CTSP) generated combined revenues of NT$1,712.828 billion (US$61.28 billion) in first-half 2021, growing 25.20% on year, according to Ministry of Science and Technology (MOST).
Major NAND flash chip suppliers are poised to ramp up their output for QLC (quad-level cell) NAND chips between the end of this year and 2022, eyeing robust demand for not only PCs but also datacenter applications, according to industry sources.
COVID remains in effect to forcibly diminish production of car parts and electronics. Realme remains the most popular smartphone brand in the Philippines. Indonesia is opening two new economic zones to accelerate development of tech and digital economy.